The Intermediary – April 2025 - Flipbook - Page 74
In Profile.
PRIMIS
The Intermediary speaks with Richard Howells, group
managing director for financial services at LSL, about the
changes made to consolidate PRIMIS’ success, and his vision
for the future of its members
R
ichard Howells, group managing
director for financial services at
LSL, is steering PRIMIS through
a significant phase of growth and
innovation, with an ambitious
roadmap for the future.
Considering the company’s strong performance
over the past year, Howells says: “It’s very obvious
that many elements of the business have gone
very well. By most conventional measures, the
business has seen solid growth. Gross revenue has
grown 8%, underlying profit is up 17%, operating
margin is up 25%, and operating profit up 17%.”
For Howells, there are two messages to be taken
from this financial success. “First, it shows we are
a significant force in UK financial services with the
financial strength to invest,” he explains. “Second,
while we are proud of [the figures] in their own
right, they are not a basis for complacency.”
The financial landscape is rapidly evolving,
presenting both opportunities and challenges in
the housing, mortgage, and protection markets.
This environment means that the organisation
must be proactive in addressing potential risks to
UK borrowers and the businesses of brokers.
Central to this proactive approach is
a commitment to fostering a supportive
environment for brokers, Howells says: “We have
spent – and are continuing to spend – a lot of time
shaping our business to support brokers’ growth,
defend what they have and support them as they
diversify to grow.”
This commitment is reflected in significant
strategic appointments. Recent hires, such as
Emma Hollingworth as chief distribution officer
and Martin Taphouse as chief operating officer, are
key figures in executing the group’s vision, with
Howells describing the team as “laser-focused on
delivering new improved propositions and creating
a culture of transparency.”
Broker-network relationship
A major component of PRIMIS’ strategy is
reshaping the broker-network relationship,
which Howells believes is crucial as brokers face
increasing demands.
74
The Intermediary | April 2025
He says: “I believe brokers will require a great
deal of assistance in the upcoming years. Any
successful long-term business arrangement
requires trust, and we have started with pricing
transparency. We have promised not to take
advantage of our role between brokers and
product suppliers.”
Howells adds: “We are quite clear that any
compensation received from product providers
should be paid to our brokers. Taking two bites
of the broker’s hard earned income might make
your numbers look good, but we don’t believe
that fosters a sense of partnership in the way our
model does.”
Diversification
Late last year, PRIMIS conducted a survey of
hundreds of specialist protection appointed
representatives (ARs) across the UK, and the
findings were encouraging.
“Our brokers have already reported positive
growth in demand over the previous 12 months,”
Howells notes.
Interestingly, just over half (52%) of those
surveyed expected the protection market to grow
throughout 2025. Howells sees protection as
increasingly important, with clients coming off
fixed-rate mortgages and needing comprehensive
advice that includes protection options.
He says: “Talking to clients about protection
is vital. The new mortgage term, whether it be
longer or shorter, must be reflected in the term
assurance.”
Howells also highlights a pressing need to offer
income protection to borrowers, which often gets
overlooked. He says factoring income protection
or family protection into affordability calculations
at the point of refinance is critical.
“Many brokers worry protection is a ‘hard sell,’
but, frankly, no mortgage advice should come
without it,” he asserts.
This advice reflects a broader market shift,
where securing one’s financial future amid
economic uncertainties is becoming more
widely recognised as an essential part of
financial planning.
